HP is keen to use the Palm’s webOS platform to link a portfolio of interconnected devices.

He said: ‘The combination of HP’s global scale and broad portfolio with Palm’s platform technology is expected to transform HP’s ability to participate more aggressively in the fast-growing and highly-profitable mobile connected device market.’

HP sees the deal as mutually beneficial, with the IT giant bringing its financial muscle to the table. The spokesman said: ‘HP will provide Palm with significant financial stability and expects to make additional investments in the company. Again, our global presence, scale and financial strength will enable HP to accelerate growth in this large, fast-growing and highly profitable market space.’

However, the company declined to discuss its plans for Palm in the UK market 'at this time.'